The deadline for PPP loan applications to the SBA was initially August 8, 2020. At December 31, 2020, there were no one-to-four family loans in nonaccrual status. The Bank does not expect to incur a loss on this loan. Verified equity refers to cash equity invested in the project. These risks can also be significantly influenced by supply and demand conditions. Loan terms typically vary from one to five years. The interest rates on such loans are either fixed-rate or adjustable-rate. We generally obtain personal guarantees on our conventional business loans. These loans represented 0.24% of total loans receivable. Management reviews the adequacy of the ALLL on a quarterly basis. As a member of the FHLB Des Moines, we are required to own capital stock. We cannot predict whether any such changes may occur. Regulation and Supervision of First Financial Northwest BankGeneral. See "Business – Deposit Activities and Other Sources of Funds – Borrowings." Environmental Issues Associated With Real Estate Lending. Section 22(h) also requires prior board approval for certain loans. Under the BHCA, First Financial Northwest is supervised by the Federal Reserve. A sustained increase in market interest rates could adversely affect our earnings. At December 31, 2020, 51.5% of our net loans were comprised of adjustable-rate loans. As a result, we are dependent on more interest rate sensitive deposits. In addition, the Bank opened our fifteenth branch in March 2021, in Issaquah, Washington. We could also suffer significant reputational damage. Our security measures may not protect us from system failures or interruptions. We are subject to certain risks in connection with our data management or aggregation.
